China plans to invest $362bn to boost renewable sector by 2020
China’s National Energy Administration (NEA) is planning to invest CNY2.5 trillion ($362.1bn) to boost the country's renewable energy sector by the end of the decade.
The investment plan, which is a part of the country’s 13th five-year renewable energy plan, comes as China intends to shift its focus from coal power towards renewable fuels.
The investment will result in installation of renewable projects including wind, hydro, solar and nuclear power which would account for about half of new electricity generation by 2020.
According to the plan, the country is expected to commit about $72bn annually for the projects, creating over 13 million jobs, reported Reuters.
The industry body has prepared five special development plans for each of the hydropower, wind, solar, biomass and geothermal energy sectors.
NEA plans to install 42.5GW of renewable power projects annually, reported SeeNews Renewables.
The agency expects the investment to result in non-fossil fuels occupying around 15% share in the country’s power mix in 2020.
In December 2016, the country's economic planner National Development and Reform Commission (NDRC) announced its five-year plan, which involved funding commitment of CNY1 trillion ($144.8bn) to boost its installed solar capacity.
As part of this plan, NDRC intended to invest about CNY700bn ($101.3bn) for wind farms and CNY500bn ($72.4bn) to hydro power projects.
The China’s 2016-2020 renewable energy plan is expected to help in offsetting 1.4 billion tons of CO2 emissions.
Image: China plans to shift its focus from coal power towards renewable energy generation. Photo: courtesy of Naypong/FreeDigitalPhotos.net.